Calculate horizon value at the end of year 5 round to the


A company forecasts free cash flow of $10 million in Year 5. It expects a constant growth rate of 4% after year 5. The company's weighted average cost of capital is 11% and its cost of equity is 14%. Calculate horizon value at the end of year 5 (round to the nearest dollar). 1. $91 2. $101 3. $95 4. $149 5. none of the above

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Finance Basics: Calculate horizon value at the end of year 5 round to the
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